5. Long-Term Debt


	September 30,		December 31,
	2019		2018
	($000’s omitted)
Term loan payable to a financial institution; Interest rate option of bank prime or Libor plus 1.4% (3.840% as of June 30, 2019), monthly prinicipal payments of $21,833 through 2021 with a balloon payment of $786,000 due December 1, 2021	$	1,375	$	1,572

Term loan payable to a financial institution; Interest rate option of bank prime or Libor plus 1.4% (3.840% as of June 30, 2019), monthly prinicipal payments of $23,810 through December 1, 2021		643		857

Line of credit payable to a financial institution; Interest rate option of bank prime 5.25%. Line of credit expires June 19, 2021		1,000		—

Equipment financing lease obligations; Interest rate fixed for term of each funding based upon the Lender’s lease pricing at time of funding. (Interest rate/factor 1.822758% - 1.869304% at time of funding)		511		704

Equipment note obligations; Interest rate fixed for term of each funding based upon the Lender's lease pricing at time of funding. (Interest rate/factor 3.3943% - 3.8527% at time of funding)		661		—
		4,190		3,133
Less current portion		(844)		(723)
	$	3,346	$	2,410

Principal maturities of long-term debt are as follows: remainder 2019 - $210,000, 2020 - $840,000, 2021 - $2,626,000, 2022 - $282,000, 2023 - $145,000 and 2024 - $87,000.

The Company has a $4,000,000 line of credit. The interest rate is a rate per year equal to the bank’s prime rate or Libor plus 1.4%. In addition, effective June 17, 2019, the Company is required to pay a commitment fee of 0.15% on the unused portion of the line of credit. The line of credit expires June 19, 2021. There was $1,000,000 balance outstanding at September 30, 2019 and $0 balance at December 31, 2018.

The term loans and line of credit are secured by all personal property of the Company with the exception of certain equipment that was purchased from proceeds of government grants.

Certain lenders require the Company to comply with debt covenants as described in the specific loan documents, including a debt service ratio. At September 30, 2019 and December 31, 2018 the Company was in compliance with these covenants.

The Company established a lease line of credit for equipment financing in the amount of $1,000,000 available until June 28, 2018. This line is non-revolving and non-renewable. The lease term for equipment covered by the lease line of credit is 60 months. Monthly payments will be fixed for the term of each funding based upon the Lender's lease pricing in effect at the time of such funding. There was approximately $511,000 outstanding at September 30, 2019 and $704,000 at December 31, 2018.

The Company has an equipment loan facility in the amount of $2,500,000 available until November 30, 2019. This line is non-revolving and non-renewable. The loan term for the equipment covered by the agreement is 60 months. Monthly payments will be fixed for the term of each funding based upon the Lender’s lease pricing in effect at the time of such funding. There was approximately $661,000 outstanding at September 30, 2019 and no balance outstanding at December 31, 2018.

Principal and interest payments for the equipment note and equipment financing lease obligations for the remainder of 2019 and for each of the next five years:


	September 30,		December 31,
Year	2019		2018
	($000’s omitted)

2019		80		193
2020		321		193
2021		321		193
2022		310		193
2023		159		—
2024		96		4
Total principal and interest payments		1,287		776
Less amount representing interest		(116)		(72)
Present value of net minimum lease payments		1,171		704
Less current portion		(296)		(175)
Long term principle payments	$	875	$	529